There is a strong sense in the market that the situation would improve post general elections provided the new government's economic policies encourage FDI and make doing business in India easier. (AP)

Take an example of the recently announced Sun Pharma-Ranbaxy deal, upwards of USD 4 billion in one deal itself and if there are 4-5 deals like this, imagine where the numbers can be."

The increasing political uncertainty over the past one year along with a fear of a fractured mandate and policy paralysis perception have resulted in creating a cautious approach among strategic players, experts believe.

"The year 2014 is being anticipated to be a big year for M&As, especially for big-ticket deals. However, most of it is expected to take off post the general elections," Sumant Sinha, Chairman and CEO, ReNew Power said.

"We expect that the deal market will continue its present momentum and don't expect a dramatic change to the Deal Street based on elections," he said.

"If the economic policies are such that it encourages FDI, we would see inbound deals. If the rupee appreciates and fund raising becomes easier due to buoyant market conditions, we can see more outbound deals."

According to Grant Thornton, in 2013 there were a total of 500 deals worth around USD 28 billion, much lower than the deal volume shown in the previous two years.

In 2012, there were 598 deals worth USD 35 billion, while in 2011, there were 644 transactions worth USD 45 billion.